The Idea of Delayed Power Downs and the Consequences of Hot Money

I recently saw a click-bait post about how intellectually inclined children are often disparaged. I'll bet a lot of kids pretend to be less smart than they are because of this problem. But this is not what this post is about because unlike some people, I don't want to click-bait you.

Why would we like Instant power downs?

If it's our money we should be able to decide to do with it what we want to do with it. We want to spend it the way we want to spend it. We already have something for that Hive Dollars, Hive, and liquid Proof of Brain. So if you might want to spend all your money at once, don't power it up.

Why the Four week power down Delay?

How would we run our businesses if we all ran like retail outfits? If you're a farmer you will be putting months of labor, money and materials into producing whatever you're producing. You're not just going to put all that effort up and then put up a sign when you have the product ready to go. Not if you're running a business operation.

People setup arrangements for payments over long terms so we can with confidence invest in our product. With 90% staked are people going to sell all of their POB because of our bear trap? No, we can't. The bear trap ends and then we cancel our power downs. Yes, we end up committed to the community.

Now with a token or crypto-currency there is the issue of what is called rug pull. Hot money comes in quickly and also leaves just as fast. Elon Musk buys a lot of Bitcoin and then like a retail shopper changes his mind and takes it back to the store for a refund. So we have these highs and lows due to these paper hands. Or did he just inspire weak hands to get in and then they panicked?

Bitcoin is full of rug-pull. There are even people who talk about giving BTC with a time-lock so the recipient cannot spend it for a number of years. Time locked assets are what powered up Proof of Brain or powered up Hive are. It's like time-locked money. If you don't want to time-lock your Proof of Brian, then don't. But commitment to the platform means you really have a vested interest in it and you're not just going to rug pull the rest of us after you get curation rewards.

You know with Proof of Brain with 90% staked, you're not going to be able to see a large 10% sale of POB anytime soon. We would all have to sell our stake to new comers simultaneously for that.


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